On April 11, 2025, the Hong Kong stock market closed higher. The Hang Seng Index rose by 1.13%, the Hang Seng China Enterprises Index increased by 1.74%, the Hang Seng Tech Index climbed by 1.80%, and the Hang Seng Composite Index went up by 1.11%.

China will raise tariffs on all US goods from 84% to 125% with effect from April 12, according to the Finance Ministry.

The move comes after Trump hiked US levies on China. The ministry added that China will ignore further tariffs from the US on Chinese products.

“Given that there is no longer any possibility of market acceptance for US goods exported to China under the current tariff levels, if the US side subsequently continues to impose tariffs on Chinese goods exported to the US, the Chinese side will pay no attention to it,” according to the statement.

Hua Hong Semi up 14%; BYD Company up 7%; XPeng up 6.7%; Li Auto up 5.6%; Xiaomi, Kuaishou up over 2%; Tencent down sightly, Alibaba down 1.7%.

Chinese shares maintained relative composure after the US said tariffs on China amounted to 145%, signaling continued focus on Beijing’s stimulus plans.

The range-bound trading came after the White House clarified Thursday that after including a 20% levy imposed earlier this year, the total tariffs on China stand at 145%, a level far above what many economists said could decimate US-China trade. Now all eyes are on the outcome of a Thursday meeting planned by China’s top leaders to discuss additional economic stimulus to counter the impact of an escalating trade war.

Sentiment in China’s onshore market stayed resilient despite higher US tariffs, according to Morgan Stanley. Trading volumes rose and the national team’s buying continued, strategists including Laura Wang wrote in a note Thursday, referring a group of state-backed funds tasked to support local equities. However, there remains downside risks for the earnings outlook and things could look “visibly worse” from the second quarter onward, they added.